Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: form 3cd :: empanelment :: ACCOUNTING STANDARD :: VAT Audit :: cpt :: articles on VAT and GST in India :: due date for vat payment :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ARTICLES ON INPUT TAX CREDIT IN VAT :: Central Excise rule to resale the machines to a new company :: TDS :: VAT RATES :: TAX RATES - GOODS TAXABLE @ 4% :: list of goods taxed at 4%
 
 
« Latest Circulars »
 Formation of seven new districts in the State of Manipur - Assignment of Lead Bank Responsibility
 Availability of LAF and MSF windows on March 28, 2017 (RTGS Working Mumbai Holiday)
  Payment systems to remain open on all days from March 25, 2017 to April 1, 2017
 Availability of LAF and MSF windows on March 25 and 26, 2017 (Saturday & Sunday)
 RBI Working Paper Series No. 5/2017: Comparison of Consumer and Wholesale Prices Indices in India: An Analysis of Properties and Sources of Divergence
 All Agency Banks and select offices of RBI to remain open on all days from March 25, 2017 to April 1, 2017
 RBI-Sources of Variation in Foreign Exchange Reserves in India during April-December 2016
 Developments in India’s Balance of Payments during the Third Quarter (October-December) of 2016-17
 RBI signs Memorandum of Understanding(MoU) on “Supervisory Cooperation and Exchange of Supervisory Information” with the Bank of Thailand
 RBI-Meeting Schedule of the Monetary Policy Committee for 2017-18
 RBI to conduct Overnight, 7 day and 14 day Variable rate Reverse Repo auctions under LAF on March 22, 2017

RBI-Rationalisation and Revision of Agency Commission Payable to Banks on Government Transactions
May, 23rd 2012

RBI/2011-12/570
DGBA.GAD.No.7575/31.12.011/2011-12

May 22, 2012

The Chairman and Managing Director/Chief Executive Officer
All Agency Banks

Madam / Dear Sir,

Rationalisation and Revision of Agency Commission
Payable to Banks on Government Transactions

As you are aware, Reserve Bank of India (RBI) carries out the general banking business of the Central and State Governments through its own offices and through the offices of the Agency Banks appointed under Section 45 of the RBI Act, 1934, by mutual agreement.   RBI pays agency commission (also called turnover commission) to the Agency Banks for the Government business handled by them. As per paragraph 5 of the Agency Bank agreement, RBI pays agency commission at a rate determined by it.  In terms of this provision, agency commission rates are reviewed from time to time. The existing agency commission rates have been operative since July 01, 2005.

2. In a dynamic banking scenario, several factors/ developments influence the cost / mechanism of agency business arrangement. Taking all these factors into consideration, RBI had held detailed consultations with major public and private sector agency banks in the recent months, based on the recommendations made by a Committee set up in this regard.

Accordingly, it has now been decided to prescribe a revised agency commission rate structure as under:-

Sl. No.

Type of transaction

 Unit

Existing Rate

Revised
Rate

1 (i)

Receipts Physical mode

Per transaction

` 45

` 50

(ii)

Receipts e-mode

Per transaction

` 45

` 12

2

Pension Payments

Per transaction

` 60

` 65

3

Payments other than Pension

Per ` 100 turnover

9 paise

5.5 paise

3. In this context, it may please be noted that Receipts e-mode transactions indicated against Sl No. 1(ii) in the above table would refer to those transactions involving remittance of funds from the remitters bank account through internet banking as well as all such transactions which do not involve physical receipt  of cash / instruments.

4.  The revised rates will be effective from July 01, 2012, and will remain valid till the next review.

Yours faithfully

(A.K.Bera)
Chief General Manager-in-Charge

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Content Management System developers CMS developers Content Management Solutions CMS Solutions CMS India Content Management System India CMS development India Website CMS Website Content Management India Portal CMS India CMS Outsourcing CMS Vendor Complete CMS Custom CMS Services

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions